Bill Text: CA AB2240 | 2009-2010 | Regular Session | Introduced

NOTE: There are more recent revisions of this legislation. Read Latest Draft

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Bill Title: Agriculture: processors of farm products: dealers:

Spectrum: Slight Partisan Bill (Democrat 4-2)

Status: (Passed) 2010-09-27 - Chaptered by Secretary of State - Chapter 382, Statutes of 2010. [AB2240 Detail]

Download: California-2009-AB2240-Introduced.html

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BILL NUMBER: AB 2240	INTRODUCED
	BILL TEXT


INTRODUCED BY   Committee on Agriculture (Galgiani (Chair), Tom
Berryhill (Vice Chair), Conway, Ma, Mendoza, and Yamada)

                        FEBRUARY 18, 2010

   An act to amend Sections 55861, 55861.5, and 55862.7 of the Food
and Agricultural Code, relating to agriculture.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 2240, as introduced, Committee on Agriculture. Agriculture:
processors of farm products: licensing: fees.
   Existing law requires processors of farm products and cash buying
processors to be licensed and to pay to the Department of Food and
Agriculture an annual license application fee in accordance with a
specified schedule determined by the annual dollar volume of business
based on farm product volumes. The department is required to
reevaluate that fee structure based on operating costs in fiscal
years 1998-99 and 1999-2000 and to submit a report, with specified
information, to the Legislature within 60 days subsequent to June 30,
2000.
   This bill, instead, would authorize the department to reevaluate
the fee structure based on operating costs. The bill would also
delete outdated fee structure and reporting provisions.
   Existing law provides that the application fees are maximum fees
and that the Secretary of Food and Agriculture may fix the fees at a
lesser amount or adjust the fees whenever the secretary finds that
the cost of administration can be defrayed with the below-maximum
fees.
   This bill would authorize the secretary to appoint an advisory
committee of producers and licensees to provide guidance in
establishing those fees or to rely on input from any similar advisory
committee already assembled by the secretary.
   This bill would make other technical, nonsubstantive changes.
   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Section 55861 of the Food and Agricultural Code is
amended to read:
   55861.  (a) Except as otherwise provided in this article or in
Section 56574, each applicant for a license shall pay to the
department a fee in accordance with the schedule in subdivision (b),
except that an agent shall pay thirty-five dollars ($35) for each
license period of the principal.
   (b) The amount of the fee due each year from the applicant shall
be determined by the annual dollar volume of business based on the
value of the farm products that is returned to the grower, as
follows:
   (1) For a dollar volume of less than twenty thousand dollars
($20,000), the fee shall be one hundred dollars ($100).
   (2) For a dollar volume of  twenty thousand dollars
($20,000) and over, but less than fifty thousand dollars ($50,000),
the fee shall be four hundred dollars ($400). Effective January 1,
1999, for a dollar volume of twenty thousand dollars ($20,000) and
over, but less than fifty thousand dollars ($50,000), the fee shall
be three hundred dollars ($300). Effective January 1, 2000, for a
dollar volume of  twenty thousand dollars ($20,000) and
over, but less than fifty thousand dollars ($50,000), the fee shall
be two hundred dollars ($200).
   (3) For a dollar volume of  fifty thousand dollars
($50,000) and over, but less than two million dollars ($2,000,000),
the fee shall be five hundred dollars ($500). Effective January 1,
1999, for a dollar volume of fifty thousand dollars ($50,000) and
over, but less than two million dollars ($2,000,000), the fee shall
be four hundred dollars ($400). Effective January 1, 2000, for a
dollar volume of  fifty thousand dollars ($50,000) and over,
but less than two million dollars ($2,000,000), the fee shall be
three hundred dollars ($300).
   (4) For a dollar volume of  two million dollars
($2,000,000) and over, the fee shall be six hundred dollars ($600).
Effective January 1, 1999, for a dollar volume of two million dollars
($2,000,000) and over, the fee shall be five hundred dollars ($500).
Effective January 1, 2000, for a dollar volume of  two
million dollars ($2,000,000) and over, the fee shall be four hundred
dollars ($400).
   (c) The department  shall   may 
reevaluate the fee structure based on operating costs  in
fiscal years 1998-99 and 1999-2000 and, notwithstanding Section
7550.5 of the Government Code, shall report on the fee structure to
the Legislature within 60 days subsequent to June 30, 2000. The
report shall include, but shall not be limited to, a summary of the
fees paid by commodity and dollar volume, an analysis of whether the
fee structure is appropriate to overall program revenues, and the
volume of services utilized by the major commodity groups covered
under this chapter  . The fees shall adequately cover the
costs to fully administer and operate the program in an effective and
efficient manner.
  SEC. 2.  Section 55861.5 of the Food and Agricultural Code is
amended to read:
   55861.5.  The fees provided by Section 55861 are maximum fees. The
 director   secretary  may fix 
such   those  fees at a lesser amount, and may
adjust  such   those  fees from time to
time, whenever  he   the secretary  finds
that the cost of administering this chapter can be defrayed with
 such   those  below-maximum fees.  The
secretary may appoint an advisory committee of producers and
licensees to provide guidance in establishing those fees or may rely
on input from any similar advisory committee already assembled by the
secretary. 
  SEC. 3.  Section 55862.7 of the Food and Agricultural Code is
amended to read:
   55862.7.  (a) If any person is found to be operating a business
without the license required by Section 55521, or failed to pay a fee
in accordance with the schedule in subdivision (b) of Section 55861,
that person shall pay to the  director  
secretary  double the amount of the license fee due pursuant to
this chapter.
   (b) In addition to subdivision (a), if any person is found to be
operating a business within the past five years without a license
required by Section 55521, or failed to pay the fees in accordance
with the schedule in subdivision (b) of Section 55861, that person
shall pay to the  director   secretary  an
amount equal to that portion of the fees  which 
 that  were not paid for the last five years the business
has operated.